Valuations have become a key talking point for analysts now. MSCI India is at an 80 per cent premium to MSCI EM Index. In Warren Buffet’s famous words, “this is the time to be fearful” because greed is driving the market, said an analyst.
The 30-share pack Sensex declined 29.22 points or 0.05 per cent to close at 58,250.26. The index traded in a range of 450 points. Its broader peer NSE Nifty fell 15.70 points or 0.09 per cent to 17,362.10.
“Supported by a recovery in broader markets the key indices ended on a flat note. The cabinet’s approval of the PLI scheme for man-made fibres and technical textiles will help in improving the industry’s outlook,” said Vinod Nair, Head of Research at Geojit Financial Services.
Market at a glance
- Textile stocks mixed after Cabinet approves 10,000 cr PLI scheme
- Voda Idea plunges 3 per cent as govt provides no relief to telcos
- India VIX, a barometer of volatility and fear, drops nearly 4 per cent
- Info Edge surges 9 per cent after ICICI Sec’s positive commentary
Among the bluechip names, Kotak Mahindra Bank was the top gainer, rising 3.57 per cent. PowerGrid, Grasim, Bharat Petroleum, Coal India, NTPC, Titan and Tata Consumer were other gainers.
Divi’s Labs was the top loser in the Nifty pack, falling 2.40 per cent. Nestle India, SBI Life Insurance, Wipro, Hindalco, Maruti Suzuki, Bajaj Auto and Bajaj Finserv were others that ended in the red.
Broader market indices ended lower performing in line with their headline peers. Nifty Smallcap dropped 0.09 per cent and Nifty Midcap fell 0.25 per cent. Nifty 500, the broadest index on NSE, ended down 0.15 per cent.
Alok Industries, KEI Industries, CDSL, Oil India, JSW Energy and Adani Total Gas were top gainers from mid and smallcap indices, climbing in the range of 4-8 per cent.
Navin Fluorine, Prestige Estate Projects, Oberoi Realty, Birlasoft, Welspun India and Dilip Buildcon were major losers from broader market space, falling in the range of 2-4 per cent.
“Overall market sentiment remains cautious, and the market advance is still dominated by a handful of stocks. Cement and PSU indices appear to have highest relative strength while autos are the weakest sector in the market.”
The sectoral matrix on the NSE was mixed. Nifty Bank was the biggest gainer, up 0.82 per cent. Nifty Financial Services followed closely. Nifty IT was the biggest loser, down 0.78 per cent. Nifty Media and Nifty Auto were among others that fell.
Market breadth was in favour of gainers as 1,812 stocks ended in the green, while 1,366 names settled with cuts. As many as 199 securities hit 52-week highs, mostly from the smallcap space. Meanwhile, 26 names hit 52-week lows, mostly from the microcap space. About 360 stocks hit upper circuit limits and 175 lower circuit limits.
European markets were trading lower. London-based FTSE was down 0.85 per cent while Paris and Frankfurt declined 0.66 per cent and 0.95 per cent, respectively. In Asia, Japan and Thailand ended in the green while others registered losses.
